Post navigation

6 thoughts on “CBO Estimates”

Conservatives and libertarians have been saying this for years …decades even. The retort has always been that it’s a tax cut for the rich and that it will reduce tax revenue and the poor will be hurt even more.

They are wrong and have ALWAYS been wrong.

Worked when JFK did it but as that doesn’t fit the narrative….crickets.

Worked when Reagan did it too. It’s amazing how fast the U.S. economy can come back when an administration simply stops trying to beat it to death with a baseball bat. Trump is well on the way to looking like an economic genius via the simple expedient of just stopping the Obama-era nonsense. The general public seems to be noticing too, despite the pervasive cricket chirps from legacy media.

A lot of progressive frequent commenters on other space forums have been predicting budget deficits to dwarf those chalked up by Obama. They’re also sure the Dems will take back both houses of Congress come Nov. 2017 wasn’t a good year for our prog friends. 2018 is shaping up to be even worse.

I’m old enough to remember the excuse for “static scoring” that ignores the effects of a tax change. The “dynamic scoring” it replaced was even more counter-factual, going from absurd fiction to deliberate lies.

It is/was impossible to predict specifically how the tax cuts would affect the economy or tax revenues. We also don’t know how the rest of the year will play out or out into the future.

One of the problems I have seen in comments online is confusing deficits with tax revenue. Just because there is a deficit doesn’t mean there is a reduction in revenue. When tax revenues are increasing and there are still deficits, it means we have a spending problem. This report is good news but we still need to get spending under control if we want to deal with debt/deficits over the long term.

It shouldn’t have been surprising that reducing the government’s burden in the form of taxation and regulation would lead to increased activity, especially since those burdens have become so onerous over the last decade.